Amazon partners Apple to sell new iPhones and iPads in India & other markets

As part of the deal, only Apple-authorized resellers will now be allowed to sell Apple and Beats products on Amazon's marketplace. Vikas SN | ETtech | Updated: November 10, 2018, 09:45 IST

Photo:Richard DrewAmazon has struck a deal with Apple to directly start selling more Apple products in India and other markets like United States, United Kingdom, France, Germany and Japan among others.

In coming weeks, Amazon will start offering the latest editions of Apple's iPhone, iPad and other devices like Beats headphones in these markets. The online retail giant will however not offer Apple's HomePod smart speaker, that directly competes with Amazon Echo. CNET was first to report this deal.

"We're working with Amazon to improve the experience for Apple customers on their site and we look forward to those customers having another great way to buy iPhone, iPad, Apple Watch, Mac and more," Apple said in a statement.

Apple had earlier struck a deal with Amazon rival Flipkart and Infibeam to appoint them as the official online seller of its products in India.

Apple-authorised resellers only

As part of the deal, only Apple-authorized resellers will now be allowed to sell Apple and Beats products on Amazon's marketplace.

Independent sellers who want to sell Apple products on Amazon will need to apply for authorization from Apple, failing which their listings will be removed by January 4, 2019, according to an email sent to sellers by the online retail giant that was later posted on Amazon seller forums.

The email also noted that sellers will also not be able to send shipments of these products to Amazon fulfillment centers from December 1, 2018. Sellers with remaining inventory in Amazon warehouses will have to create a removal order, with the online retail giant offering to reimburse return or disposal fees until February 4, 2019.

These changes are expected to help Apple and Amazon have more control over the pricing and inventory of Apple products.

ET had reported in June that Apple India country head Michel Coulomb has restructured the company's sales and distribution strategy to reduce discounting throughout the year. He had cut down on the number of distributors, retaining only two national distributors - Ingram Micro and Redington.

This deal comes at a time when Apple is struggling with shrinking iPhone sales in the country. Hong Kong-based Counterpoint Research recently estimated that iPhone sales may sink to two million this year from three million in 2017, the company's first decline in four years.

Earlier this month, Apple CEO Tim Cook also acknowledged that the company's growth in India is becoming a challenge, attributing the sales slowdown to the weakness in currency exchange rate and increase in import duties that led to price hike in the country. He disclosed that the company's business in India was flat for the July-September quarter.